October 13, 2024 Renewable energy partnerships

Renewable Energy For Residential Property

Leadership is all about value. Create it, and save it. That’s why renewable energy is the best option for residential property buyers to invest their hard earned cash into renovating with sustainable energies, the return is there.

If you’re buying a home for future investment purposes or a place to live, recent studies show that the net present value of future energy savings can add real value to real estate. There are three reasons why this is leading the charge:

Heating is the biggest cost factor
Improved resale value
Long winter drives heating costs

Heating is by far the biggest cost in operating costs.

In Germany, they label heating as a ‘second rent’ meaning that AFTER you pay for the mortgage or rent on a property, the second rent relating to heating is applied. The German Tenants Association (DMB) state that almost two-thirds of operating costs of a residential home are heating and hot water.

Improved resale value

Those who invest in homes with the idea that property values will increase over time have to make very cautious decisions on what to spend hard earned cash on. Renovate the kitchen? Replace the bathroom? Redecorate? Considering that the majority of operating costs comes in property originate from heating and hot water, it makes sense to invest in the biggest opportunity to save. Studies in Germany, the USA and UK have proven that investing in renewable energies can improve the resale value of a home from between significantly.

Here are 3 facts emphasising how employing quality and certified renewable energy systems in the home can increase value.

A. Energy Star properties had a 13.5% high market value relative to non-Energy Star ones. Pivo, G., and Fischer, J. “investment returns from responsible Property investments: energy efficient, transit-oriented, and urban regeneration office Properties in the US from 1998-2007.” indiana university, October 2008.

B. In a study by Eichholtz, sales price premiums were found to be 19% higher in Energy Star offices between 2004 – 2007 and a 13% premium was found for certified buildings 2007-2009. Eichholtz, P., Kok, n., and Quiqley, J. “the economics of Green Building.” Maastrict university and university of California – Berkeley, August 2010.

C. Building sales prices have increased by 10% with Leadership in Energy and Environmental Design certification and 5.8% with Energy Star in an analysis of building sales from 2003-2007. Miller, n., spivey, J. Florance, A. “does Green Pay off?” Journal of real estate Portfolio Management, Vol.14, no.4, Oct-Dec. 2008.

Longer winters drives heating costs ever upwards

Longer and harder winters force homeowners to turn on their central heating units sometimes until May, increasing heating costs. Looking towards future energy savings via present day investment is the key for people wishing to add real net value to their real estate.

Questions to consider when adding value to your home:

Future tenant demand – how can additions be considered a value added benefit?
Operating expenses and how to keep them low – how can you keep your future costs down?
Perceived risk – what can you rely on relating to low maintenance costs for the future?

At Innasol, we are nerds in relation to renewable energy and believe that after decades in the hub of sustainable energy innovation in Austria, biomass, head pods and solar pv are the best investment for property buyers to invest in their homes. Whether you are looking to add value to your investment property or to the home you live and celebrate family birthdays in, we believe that helping you make the most of your life savings and getting valuable return, without costing the earth, is our goal. Moreover, our approach results in our partners receiving highly competitive access to the best products and training in the market and our customers getting the best, most cost-efficient heating systems for their requirements. This is a happy win-win situation for all concerned.

RENEWABLE HEATING OPTIONS

At present, we offer biomass boilers, including our ‘plug-and-play’ biomass heat pods, and solar pv heating systems. ETA’s biomass boiler range operate by burning wood (logs, pellets and woodchips) inside highly efficient, self contained units to provide heating and hot water to homes and businesses of all sizes.

Our Solar Photovoltaic (PV) technology is not just an eco-friendly choice but a financially savvy one, offering low-cost, low-maintenance electricity with the freedom to go off-grid. With costs plummeting by 85% in the last decade and versatile applications on the rise, there’s never been a better time to invest in solar. As with everything at Innasol, we are proud of what we help to achieve, install and maintain every day. We are also constantly improving our offering and continually searching for the best in renewable energy, for our customers, our partners, and the planet.

Biomass boilers

Biomass heat pods

Solar PV

If you want to now about building certifications such as

Energy Star

LEED

The Boiler Upgrade Scheme

The UK government has introduced the Boiler Upgrade Scheme to encourage homeowners to switch to more energy-efficient heating systems. This scheme offers financial incentives for replacing old, inefficient boilers with new, high-efficiency models. The aim is to reduce carbon emissions and help households save on their energy bills. The Boiler Upgrade Scheme is a step towards achieving the UK’s net-zero carbon emissions target by 2050.

Find how you can benefit from the Boiler Upgrade Scheme.

Also here are some good case studies showing you HOW the whole concept works!

Questions you may have about renewable energy

Future Tenant Demand

How can renewable energy installations be considered a value-added benefit for future tenants?

In today’s eco-conscious world, renewable energy installations are more than just a ‘nice-to-have’—they’re a compelling selling point. Tenants are increasingly seeking properties that align with their values, and a home equipped with renewable energy solutions like solar panels or biomass boilers speaks volumes about sustainability. Moreover, these installations can translate into tangible benefits like reduced energy bills and a smaller carbon footprint, making the property not just a place to live, but a statement of responsible living.

Operating Expenses

How can investing in renewable energy help in keeping future operating costs low?

Think of renewable energy as an investment in future savings. After covering the initial setup costs, you can significantly decrease operating expenses.Solar panels, for instance, require minimal maintenance and can even generate excess energy that you can sell back to the grid. Biomass boilers, on the other hand, use waste materials as fuel, turning what could be an expense into an asset. Over time, these renewable solutions can not only pay for themselves but also become a source of ongoing savings, making your property more cost-efficient in the long run.

Perceived Risk

What are the long-term maintenance costs associated with renewable energy systems, and how reliable are they?

When it comes to long-term maintenance, renewable energy systems like solar panels and biomass boilers are generally low-fuss affairs. Solar panels often come with warranties extending up to 25 years and require little more than occasional cleaning.

Biomass boilers require more regular maintenance but designers build them for durability. As for reliability, these systems not only last but also consistently deliver energy, often with options to store or sell the excess. So, some level of maintenance always exists, but the long-term benefits and reliability of these systems often outweigh the perceived risks.